HUD Update: HUD Multifamily CNA e-Tool Status Update

It’s been one month since the mandatory usage of the Capital Needs Assessment (CNA) e-Tool for FHA Multifamily mortgage insurance applications has been in effect, and we are happy to report an increase in its usage. The e-Tool automates and standardizes the preparation, submission and review of a capital needs assessment. The Office of Multifamily Housing has established robust customer service for support as you continue to familiarize yourself with the tool. I’d like to provide a status update and remind you about available resources.

Mandatory Dates

In April 2017, the fully functioning CNA e-Tool was released and available to test drive on a voluntary basis. Since then, we’ve released the following mandatory dates for CNA e-Tool usage:

February 1, 2018 for Rental Assistance Demonstration conversions that are conventionally financed, not FHA insured; 10-year update capital needs assessments for FHA-insured multifamily properties; and other asset management milestones, such as partial payment of claims, processed by Multifamily Offices of Recapitalization and Asset Management and Portfolio Oversight staff. The tool is available now for these purposes on a voluntary basis.

Usage Statistics

Uniform use of this tool will benefit both program participants and HUD staff and streamline our processes. One application has officially been approved and currently:

Deposit Test Tool is coming soon for lenders to use in conjunction with the e-Tool. This will allow lenders to more easily test the deposit amounts to the reserves for replacement account for compliance with the MAP Guide.

As you can see, the CNA e-Tool is actively being used by HUD stakeholders, and these numbers are growing. Multifamily has invested significant effort in the e-Tool’s development and implementation, and we look forward to working with you on its usage. Future system upgrades based on your feedback will continue to improve functionality. I encourage you to use the numerous resources available for support and to feel free to contact us here with any questions.